KAILUA-KONA — Macy’s at Kings’ Shops is shuttering its doors at month’s end.
The Waikoloa Beach Resort store closure is among 28 across the country, Emily Workman, media relation’s director for Macy’s Northwest and Southwest regions, confirmed Thursday. It is the only Macy’s location in the Aloha State closing.
“The decision to close a store is always a difficult one, but Macy’s is proud to have served the Waikoloa community over the past 28 years,” Workman said, “and we look forward to continuing to do so at nearby Macy’s Makalapua Center and online at macys.com.”
The closure will impact nine employees.
“Macy’s previously shared this information with our valued colleagues. Regular, non-seasonal colleagues who we are unable to place at nearby Macy’s stores will be eligible for severance, including outplacement resources,” Workman said.
The 10,000-square-foot location opened at Kings’ Shops over a decade ago, said Lynn Rostau, Kings’ Shops general manager.
The closure leaves the largest tenant space at Kings’ Shops empty. Rostau said Thursday the shopping center will announce at a later date plans for the space.
The confirmation of store closures comes after the Cincinnati, Ohio-based company reported its November and December sales results Wednesday showing holiday sales dropped. Comparing the same stores year over year, sales fell 0.6%, according to a news release.
Trade association National Retail Federation in October projected holiday retail sales would increase between 3.8% and 4.4%, however, November numbers showed growth of just 2.1%. Last February, the federation forecast retail sales to increase 3.8% to 4.4% in 2019.
The federation stated it was awaiting the Jan. 16 release of information from the U.S. Department of Commerce before gauging the success of retail sales for the holiday season and all of 2019.
“While retail sales were up an average 3.5 percent during the first 11 months of the year, December sales will be a critical month for 2019,” the news release read.
Macy’s in recent years has closed scores of stores across the nation.
In August 2016, following the closure of 41 stores in 2015, the company announced plans to shutter an additional 100 under-performing stores in an effort to “focus resources on strategic priorities, improve organizational agility and reduce expense.”
In a Jan. 4, 2018, press release, the company said it had closed 124 stores since 2o15, including 81 of the 100 store closings announced in 2016.
It’s unclear if the current closures are part of the 2016 announcement. Prior to the Macy’s location in Waikoloa, just one Hawaii store, the Ala Moana Jewel Gallery, had closed.
Macy’s reported 2018 sales of $24.9 billion. The company, which employs 130,000, operates approximately 680 department stores under the Macy’s and Bloomingdale’s names, and approximately 190 specialty stores in 43 states, the District of Columbia, Guam and Puerto Rico, as well as macys.com.
The company, which marks 162 years in operation this October, said Wednesday that it would share more details about Macy’s growth plans and three-year strategy in early February.
Source: Hawaii Tribune Herald